LOL, agreed.I think they will suffer as will a few of the other...

LOL, agreed.

I think they will suffer as will a few of the other very large diversified dividend payers as fund managers cycle our of them going into the next div payments as they really are priced to perfection at present.

Other fund mgrs I speak to are really struggling to locate places to hide with bonds so expensive and the weight of money hiding in blue chip defensives is like an elephant hiding behind a letterbox for any short sellers looking to profit from those late out of the blocks on any rotation.

Tough to speculate on the impact that QE and EZ policy will have closer to home with China in a state however this one is worth watching like many other defensives because once they start underperforming I think the outflow may catch a few people by surprise.

Second tier defensives and industrials have been catching a bid more recently like Crown and Ansell which makes me wonder whentehr managers just can't see divs carrying them to the end of year with downside potential in defensives so they are getting a little more cavalier or whether they see QR as floating all boats so they are trying to front run things a bit.

We'll soon see I guess, but WES and Woolies at these multiples look very rich to us with the likes of RIO, BHP and NCM being smacked.

Sure near term is a pinch point for miners however diversification in the first two combined with their legacy projects with much lower extraction costs will probably see them handed struggling projects on a platter.

But that is jsut me speculating entirely :)